ML052150188

Autoliv Letter on Divestiture Plan Regarding Indirect Transfer of the Aerotest Radiography and Research Reactor

ML052150188
Person / Time
Site:	Aerotest
Issue date:	07/21/2005
From:	Mary Anderson Autoliv
To:	Mathews D, Mendonca M Office of Nuclear Reactor Regulation, Division of Regulatory Improvement Programs
References
Download: ML052150188 (2)

Text

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July 21,2005 Autoliv David Mathews Director Mail Stop: 012-ES United States Nuclear Regulatory Commission Office of Nuclear Reactor Regulation Washington, D.C- 20555-0001 Marvin Mendonca Senior Project Manager Mail Stop 012-G13 Operational Experience and Non-Power Reactors Branch Division of Regulatory Improvement Programs Office of Nuclear Reactor Regulation United States Nuclear Regulatory Commission Washington, D.C. 20555-0001 Via Facsimile (301) 415-2279 Re: Divestiture Plan Regarding Indirect Transfer of the Aerotest Radiography and Research Reactor (ARRR), Docket No. 50-228 License No. R-98 Gentlemen:

Pursuant to our earlier correspondence and discussions, the following is a report of Acrotest's activities in support of its divestiture plan. As a preliminary matter, I would like to report that Aerotest continues to meet the provisions of the negation plan proposed in my letter of January 29, 2004. All directors of Aerotest Operations, Inc., its parent company and the parent of its parent company continue to be U.S. citizens. No non-U.S.

director of any company in the Autoliv family of companies has taken any role, no matter how minor, in the operations of Aerotest.

I have reported in earlier correspondence, our divestiture efforts continue to focus two customers of Aerotest that have expressed an interest in evaluating a purchase of the business. The President of Acrotest has personally continued to pursue these potential partners inasmuch as they represent our best prospects for a divestiture of the business.

Unfortunately, we continue to be told that the small size of the potential transaction has made it difficult for either of the entities to focus the resources necessary to move forward at this time. We continue to view these as our best (and currently, our only) opportunities for divestiture, and will continue to pursue these opportunities.

Likewise, we have continued discussions with the offices of Senator Feinstein and Representative Pombo to explain the ownership issue and to seek any congressional assistance that might be available to resolve it. It was our understanding that the offices of the Senator and the Representative would have direct discussions at the staff level, Michael S. Anderson VICa President for Legal Artl,,s ard Geriet~l CoLnsdl Srnerican Technfcal Center ar'one: r2J8)4 75S0442 132 Pacibc Drve Fax: (248- 475-92E Auburn HiltS. U 48326 Phone. f246) 475.9000

howevcr, in recent conversations with members of Representative Pombo's staff we have been informed that such discussions have not yet taken place. Within the next 30 days we will attempt to meet personally with both offices in hopes of facilitating the dialogue.

Through the first half of 2005 the Aerotest business was stable with modest growth.

Acrotest's testing services continue to be predominately related to government contracts, virtually all in the defense field.

We will continue to comply with the negation plan contained in my January 29, 2004 letter and to report to you at 60 day intervals concerning progress on our divestiture plan.

1would be happy to answer any question you may have about the foregoing. Please feel free to contact me at your convenience.

Very truly yours, -

Michael S. Anderson Vice President for Legal Affairs and General Counsel cc: R. Tsukimura